Revenue at Nvidia and Apple supplier soars 30% to a record high

Taiwanese giant Hon Hai Precision Industry, the world's largest contract electronics maker known globally as Foxconn, reported a nearly 30% increase in revenue in April. It hit a record on the back of strong demand for the infrastructure needed to run AI. For investors, it's a sign that spending on AI hardware remains high, Bloomberg writes.

Hon Hai Precision Industry, a key partner of Apple and Nvidia reported that its revenue in April soared 29.74% year-on-year to NT$832.1 billion ($26.3 billion). The result was an all-time record for the month. The previous April high was recorded last year.

Revenue for the first four months of 2026 reached NT$2.96 trillion ($93.5 billion), up 29.7% year-on-year. This has also never happened in Hon Hai's history.

The manufacturing giant's stock rose nearly 10% on the Taiwan Stock Exchange on May 5.

Hon Hai plans to release its first-quarter financial results on May14.

The company has established itself as a key player in the AI hardware market by assembling servers that use Nvidia gas pedals. It also derives a significant portion of its revenue from assembling iPhones and MacBooks and is well-positioned to capitalize on strong demand for the latest '17 line of devices, Bloomberg notes. That said, Hon Hai has recently stepped up its AI server efforts to diversify its manufacturing portfolio.

The company said that revenue in the cloud and networking solutions segment showed strong growth due to strong momentum in cloud-based AI technologies. The electronic components and computer hardware categories also showed a strong rebound, while the smart electronics sector saw a slight decline.

The second quarter is traditionally a "low season" for the industry, the company warned. "However, the AI segment is expected to maintain its upward trend. The operating outlook for the second quarter assumes both quarterly and year-over-year growth. That said, there remains a need to monitor the impact of the volatile global political and economic environment," Hon Hai said in a press release.

Analysts on average expect the contract supplier's revenue to rise 30.4 percent, Bloomberg writes.

This article was AI-translated and verified by a human editor